EconoBEE Newsletter 18 February 2010 – BEE Financial Year End

February is an important time of the year for most companies, primarily because it marks the end of their financial year. Quite importantly for BEE purposes, the scorecard is verified on that financial year period.

The effect of this can be quite dramatic, in particular for a company who has not yet earned all the BEE points they expected.

Since verification usually requires a 12 month period, commonly the financial year, only data that fits into that year is eligible. It is not possible to earn more points after the year has come to an end.

What do you need to do now?

Make absolutely sure you have earned enough points by calculating your scorecard now. If you have fallen short find an avenue to earn the extra points. Enterprise Development and Socio-economic Development in particular are excellent, effective and meaningful ways to earn BEE Points.

Enterprise Development is amongst the easiest, yet most empowering BEE points on the scorecard. As a result of true genuine Enterprise Development a small company can not only become sustainable but also grow into a successful business. This success creates skills, jobs and by flow through assists the South African economy.

The only draw back right now is – you need to spend your ED targets before your year end, which for most is February 2010.

The cost of Enterprise Development is 2% of Net Profit After Tax (if you are a QSE) or 3% (if you are a Generic). The codes talk of cumulative spend but verification agencies tend to accept spend in the current year saving you from having to catch up spend from previous years if you had not done so. A detailed explanation is available.

Mabuya Glass, our Enterprise Development beneficiary is producing the most wonderful glass whiteboards. Through our efforts, we have helped Mabuya Glass with design, marketing and management amongst others, which culminates into a perfected product that simply looks fantastic.

Mabuya Glass, glass whiteboards are available in various sizes: 900 x 600, 1200 x 1000 and are available at very reasonable prices. The design includes rounded corners, white backing with an elegant glass border. Contact mabuya@econoserve.co.za for more info or 011 483 1190.

South Africa sadly has no shortage of suitable beneficiaries for this element, but if you have not spent your 1% of Net Profit After Tax target contact info@econobee.co.za and we will recommend a qualifying beneficiary.

Whomever you donate to, please ensure they give you a signed statement as to the beneficiaries they support and keep all evidence for verification.

About EconoBEE

EconoBEE is a BEE consultancy that has developed extremely effective tools to measure and implement Broad Based Black Economic Empowerment. Our services focus on the business side of BEE.  Our services include EconoBEE Scorecard, BEE Scorecard Workshops, EME Pack, Document Pack, EconoLog and the 10 Step Process to BEE Compliance.

Our company supports various organisations and drives the BEE Expert Group to help maintain and develop knowledge in the BEE industry.

Please send it to us and we will include it in our BEE Procured database.

Tel: 0861 11 3094 or 011 483 1190
Fax: 011 483 1195
Email: info@econobee.co.za
Web: www.econobee.co.za

We know how useful our newsletters are but you needn’t wait for our newsletters – follow our Tweets, connect with us on Facebook or stay well informed by reading our BEE Blog.

Know someone who might be interested in the email? Why not forward this email to them.

Support true enterprise development – contact Mabuya Glass for your glass white board – easy to install and use, and it looks really smart. Msizi has stock. Msizi thanks the PG Group for their kind assistance and support. Call Thuli on 011 483 1190 for information.

That’s it for the time being.
Regards
Gavin and the EconoBEE Team